This study examines determinants and consequences of auditors' tax-related key audit matter (KAM) disclosures. We argue that to investigate whether KAMs provide information and affect firm behavior it is important to examine determinants and consequences that map into the specific topic of the...

We propose that auditor-provided tax services (tax NAS) improve internal control quality by accelerating audit firm awareness of transactions material to the financial statements. Using data from 2004 to 2012, we find robust evidence that companies purchasing tax NAS are significantly less...

Accounting estimates are susceptible to managerial errors and bias, thereby generating audit risk. Quantifying and understanding the determinants and consequences of auditors’ influence on clients’ accounting estimates is therefore important. Using a novel econometric technique, we estimate...

Gaver and Utke (2019) show that auditor industry specialist measures can be improved by accounting for the length of time an auditor has been a specialist (specialist tenure) in addition to auditor market share. In this note, I provide the code for calculating Gaver and Utke's (2019) specialist...

Using an easily implementable methodology for identifying potential data errors, I identify and correct cases where Compustat miscodes its auditor variable. In this paper, I present the methodology and provide SAS code that implements the methodology, enabling researchers to easily identify and...

We use a unique setting of an auditor's acquisition of another auditor to provide new insight into customer responses to mergers broadly, and to study several audit market dynamics. Unlike most merger settings that primarily allow examination of the merging firms and their rivals, this setting...

We argue that the association between auditor industry specialization and audit quality depends on how long the auditor has been a specialist. We measure audit quality using absolute discretionary accruals, income-increasing discretionary accruals, and book-tax differences. Our results, based on...